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26 Oct 2026, 12:45 UTC · 2h ago
Microsoft's Diversified Backstop Keeps Me Buying
Impact · against what's priced in
The news is largely non-catalytic for Microsoft as its strong cloud growth, backlog, and Copilot adoption are already baked into the valuation. However, the reported negative free cash flows and rising debt at Alphabet and Oracle reinforce the market's current refusal to pay for their AI growth targets.
- ORCL−0.20
Already priced in
- The price assumes
The ability to fund massive AI infrastructure spending without permanently impairing shareholder value
Negative free cash flow of $5.4 billion and falling software revenue provide concrete evidence for the risks the market is already penalizing.
What ORCL's price assumes · Sep 11
